Maruti Suzuki Approves 2.5 Lakh Units Capacity Addition at Khoraj Site, Inv. ₹10,189 Cr
Maruti Suzuki's Board approved the first phase of capacity addition of 2,50,000 vehicles per annum at its Khoraj Industrial Estate site. The expansion, expected by 2029, requires an investment of ₹10,189 Crores, to be funded by internal accruals. This move aims to meet growing market demand and export requirements.
A significant investment of over ₹10,000 Crores in capacity addition indicates a major strategic move that will impact the company's production capabilities and market share.
The company is expanding its manufacturing capacity to meet growing demand, which is a positive indicator for future growth and market position.
Maruti Suzuki India Limited (MSIL) announced that its Board of Directors has approved the addition of the first phase of manufacturing capacity at its Khoraj Industrial Estate site in Gujarat.
This decision follows a prior communication on January 12, 2026, regarding the approval to acquire land at the Khoraj Industrial Estate. The proposed capacity addition involves an initial phase of 2,50,000 vehicles per annum. This expansion is anticipated to be completed by 2029, contingent upon market conditions.
The total investment required for this first phase, including a car manufacturing plant and essential common infrastructure for future expansion, is ₹10,189 Crores. The company plans to finance this expansion through internal accruals, driven by the anticipated growth in market demand, including exports.
Maruti Suzuki's current total existing capacity across its Gurugram, Manesar, Kharkhoda, and Hansalpur facilities stands at approximately 24 Lakh units per annum, with a production capability of 26 Lakh units per annum. This existing capacity is reported to be fully utilized.
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Maruti Suzuki India Limited filed this with the NSE as a statutory disclosure, categorised under capex. It is a primary document, not a recommendation, and the desk marks it high impact, which is the band that most often changes something.
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See the model portfoliosA plain-language summary of a public exchange filing by Maruti Suzuki India Limited. Read the original for the full detail.